How much should my remodel cost?

“A budget tells us what we can’t afford, 

but it doesn’t keep us from buying it.”  William Feather

Money is on everyone’s mind these days.  Maybe you’ve decided you have the funds to attack that home remodel you’ve wanted, or maybe the leaking roof has “decided” it for you.  How in the world do you decide how much is appropriate to spend?  

Inviting a designer, decorator or contractor into your home without having first considered your budget is a waste of everyone’s time.  A home can be improved for as little as the cost of a gallon of paint, or for hundreds of thousands of dollars.  When your designer or contractor asks what budget you have in mind, they are probably not trying to figure out how much money they can get.  They are trying to determine both what kind of project you have in mind, and also if your dreams can be realized within the limits of your budget.

Your first meeting with a designer should be about three things.  First, do you even like this person?  Can you work with them?  Both the homeowner and the designer should be asking themselves this question.  If the answer is no, there is no point in moving forward.

Second, what is your dream?  Don’t hold back.  What is it you really want to feel in this room?  How do you want to use it?  Why are you wanting a change?  What would you love to see?  If you’ve always wanted a bay window, say so.  The designer will let you know if it can or can’t work with your space or your budget, but needs to know up front what you wish.  If you can, be prepared with photos you’ve printed from the internet or torn from design magazines of rooms and elements you love.  Pictures help make sure we are all speaking the same language.

Third, budget.  The budget may not be set in this first meeting, but it needs to be aired.  There is no expectation that you know how much things cost (that is the designer’s job) but we need to know what kind of budget we are looking at.  Now, if you tell me you want a full kitchen remodel with all new appliances, floors and cabinets, and that you have $10,000 to work with, it gives us a starting point.  I will gently tell you that your budget won’t cover what you are wanting to achieve, and then we can discuss whether you want to change the project parameters or the budget parameters.  But we have to know if we are looking at a $300,000 budget or a $20,000 budget.

Do be conservative with your numbers and tell your new designer a number that represents 80% of your true budget.  This is appropriate because you want to have 20% of your budget in reserve for the “unexpected problems” that always sneak in.  But do your homework first and have a number in mind.  Then ask your designer if your dreams can be realistically met within your budget.

So, how do you set a budget?  According to keidel.com a full kitchen remodel project should be valued at no less than 5% of your home’s value and at no more that 15%.  In a kitchen remodel 50% of that amount should be allocated for cabinets.  This is the most expensive room in a home, and is a good place to start when thinking about numbers for the rest of your home.  Click here for another great article on kitchen remodeling budgets. 

How good is good enough?

Home remodels are completed by human beings, and as such they are always going to have some flaws in the work.  So how good is good enough?  

At an open house for a newly constructed home I took a couple pictures of areas that would not have been up to my standard for my clients.  In the first photo the outlet was set crookedly, and while usually that wouldn’t bother me so much, it’s against a perfectly gridded background and so it’s glaringly obvious to my eye.  

Either the outlet or the tile isn't set straight, very noticeable with such a strong grid pattern in the tile and the white grout.

In the second photo the groutline between the granite and tile is cracked, and again, should be fixed.

The grout and caulk line at the base of this tile has already cracked.

As the homeowner it is important that from the start of the project you are clear with your standards and expectations and that you and your designer are on the same page.  If you can, try to tour some remodeled homes on the market during open houses and get a sense of what good grout lines look like and what seams look like in crown molding - familiarize yourself with “industry standards”.  

Next, remember that your standards will affect how much you pay.  If you hire the best and expect perfection, you WILL pay more for that because not only are you likely hiring a more experienced, skilled craftsperson, that person will also have to spend more time getting it all perfect.  There is nothing wrong with that, but don’t expect to pay the cost of a Volkswagon and get the performance of a BMW.

Finally, walk through and approve EVERY stage of the remodel.  Fixing grout lines in the shower is much harder once the custom shower door is installed, and rarely turns out very well.  If one of the stair risers is squeaky, that needs to be fixed BEFORE they lay the carpet!

In the end your project will have imperfections.  Decide what you can and can’t live with, and what you are willing to pay for.  And of course remember that once your home is furnished and decorated, little things will fade away.  Once the project is done and you’ve decided it’s good enough, take a deep breath, refocus your eyes, see the “big picture”, and resist the urge to obsess about that one imperfect seam in the floor in the closet - what a way to take the joy out of your beautiful new space!